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Smoking and early retirement due to chronic disability

Bengtsson, Tommy LU and Nilsson, Anton LU (2018) In Economics and Human Biology 29. p.31-41
Abstract
This paper considers the long-term effects of smoking on disability retirement in Sweden. Smoking is known to have damaging effects on health, but there is limited evidence on how the effects of smoking translate into worse labour market outcomes, such as the inability to work. In contrast to the few previous studies on smoking and disability retirement, we use a large population sample with registry information on smoking, which is recorded for all women who give birth in Sweden. Thanks to these comprehensive data, we are able to account for a much broader range of potential confounders. In particular, by the use of sibling and twin fixed effects, we account for unobserved heterogeneity in childhood environment and family characteristics.... (More)
This paper considers the long-term effects of smoking on disability retirement in Sweden. Smoking is known to have damaging effects on health, but there is limited evidence on how the effects of smoking translate into worse labour market outcomes, such as the inability to work. In contrast to the few previous studies on smoking and disability retirement, we use a large population sample with registry information on smoking, which is recorded for all women who give birth in Sweden. Thanks to these comprehensive data, we are able to account for a much broader range of potential confounders. In particular, by the use of sibling and twin fixed effects, we account for unobserved heterogeneity in childhood environment and family characteristics. Given that smoking is often initiated in adolescence, one would suspect such factors to play important roles.

Among individuals aged 50–64 in 2011, a simple model suggested smokers to have a 5 percentage point higher probability of receiving (full) disability pension, making them more than twice as likely as non-smokers to receive this. However, in a model with sibling fixed effects, the size of the effect was reduced by more than a third. The results point to the importance of confounders, such as childhood circumstances or behaviours, which were not accounted for by previous studies. We also consider effects on disability due to different health conditions. In relative terms, effects are the largest for circulatory conditions and tumours. Results are largely driven by health problems severe enough to merit hospitalization, and there is no evidence of a role played by financial incentives. (Less)
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author
organization
publishing date
type
Contribution to journal
publication status
published
subject
in
Economics and Human Biology
volume
29
pages
31 - 41
publisher
Elsevier
external identifiers
  • scopus:85041593112
ISSN
1570-677X
DOI
10.1016/j.ehb.2017.12.005
language
English
LU publication?
yes
id
b15b64ac-c92f-4cc9-a6bd-6bb0df66d8f2
date added to LUP
2018-02-20 08:38:23
date last changed
2018-05-29 10:33:13
@article{b15b64ac-c92f-4cc9-a6bd-6bb0df66d8f2,
  abstract     = {This paper considers the long-term effects of smoking on disability retirement in Sweden. Smoking is known to have damaging effects on health, but there is limited evidence on how the effects of smoking translate into worse labour market outcomes, such as the inability to work. In contrast to the few previous studies on smoking and disability retirement, we use a large population sample with registry information on smoking, which is recorded for all women who give birth in Sweden. Thanks to these comprehensive data, we are able to account for a much broader range of potential confounders. In particular, by the use of sibling and twin fixed effects, we account for unobserved heterogeneity in childhood environment and family characteristics. Given that smoking is often initiated in adolescence, one would suspect such factors to play important roles.<br/><br/>Among individuals aged 50–64 in 2011, a simple model suggested smokers to have a 5 percentage point higher probability of receiving (full) disability pension, making them more than twice as likely as non-smokers to receive this. However, in a model with sibling fixed effects, the size of the effect was reduced by more than a third. The results point to the importance of confounders, such as childhood circumstances or behaviours, which were not accounted for by previous studies. We also consider effects on disability due to different health conditions. In relative terms, effects are the largest for circulatory conditions and tumours. Results are largely driven by health problems severe enough to merit hospitalization, and there is no evidence of a role played by financial incentives.},
  author       = {Bengtsson, Tommy and Nilsson, Anton},
  issn         = {1570-677X},
  language     = {eng},
  pages        = {31--41},
  publisher    = {Elsevier},
  series       = {Economics and Human Biology},
  title        = {Smoking and early retirement due to chronic disability},
  url          = {http://dx.doi.org/10.1016/j.ehb.2017.12.005},
  volume       = {29},
  year         = {2018},
}